Equals Group plc (LON:EQLS) has today provided an update on its strategic options review.
The Board of Equals confirms that it has received an enhanced indicative non-binding proposal from the consortium comprising Embedded Finance Limited (“Railsr”) and TowerBrook Capital Partners (UK) LLP regarding a possible cash offer for the whole issue and issued equity in Equals at a price of 135 pence per Equals share.
The enhanced Proposal follows a series of previous proposals from the Consortium and is subject to the completion of ongoing final due diligence, facilitated by Equals, and the finalization of acquisition financing by the Consortium.
In order to provide further time for the Board to review the Proposal and for the Consortium to complete its due diligence and arrange acquisition financing, the Equals Board has requested that the mergers and acquisitions panel (the “Panel”) extend the current deadline to 5.00 p.m. of 10 July 2024 by which time the Consortium must, in accordance with Rule 2.6(a) of the Code, either announce a firm intention to make an offer for the Company in accordance with Rule 2.7 of the Code or announce that it does not intend to make an offer offer, in which case the notice will be treated as a notice to which Rule 2.8 of the Code applies (the “PUSU Deadline”).
In light of this request, an extension was granted by the Panel and, pursuant to Rule 2.6(a) of the Code, the Consortium is obliged, no later than 5.00 p.m. of 7 August 2024, either to announce a firm intention to bid in accordance with Rule 2.7 of the Code or to announce that it does not intend to bid, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies. This revised PUSU deadline may be extended with the consent of the Committee, at the request of Equals, in accordance with Rule 2.6(c) of the Code.
There can be no assurance that an offer will be made.